Update on the proceedings brought by General Atomics Europe against RUAG

On October 23, 2025, the first oral hearing in the proceedings brought by General Atomics Europe (GAE) against RUAG took place before the Munich Regional Court II. The hearing went well, particularly because the plaintiff was still unable to substantiate its allegations.

As required by procedural law, the court will appoint an independent expert. This expert will examine the allegations made by the former subsidiary, usually in consultation with the parties, and will present his / her assessment in a report. Both parties will then have the opportunity to submit written statements and question the court-appointed expert in an oral hearing.

Since various authorities have already confirmed RUAG's position (KPMG, the state prosecutor in Munich, Munich courts in parallel proceedings), RUAG expects that the court-appointed expert will confirm RUAG's position. RUAG’s position has already been supported by several independent and renowned experts. Accordingly, RUAG sees no reason why the court-appointed expert should come to a different conclusion.

RUAG remains confident about the further course of the proceedings.

Background
In 2020, RUAG Deutschland GmbH ("RUAG") sold its then subsidiary RUAG Aerospace Services GmbH to General Atomics Europe GmbH ("GAE"). In August 2024, GAE filed a lawsuit against RUAG at the Munich Regional Court II, claiming approximately EUR 40 million in damages. The allegation is that RUAG manipulated its 2019 annual financial statements and embellished its balance sheet prior to the sale. RUAG strongly rejects these allegations. The oral hearing took place on October 23, 2025.

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Jasmine Zimmerli, Senior Manager Communications & Media
+41 79 808 94 50, jasmine.zimmerli@beyondgravity.com

Philipp Bircher, VP Communications & Branding 
+41 79 790 11 81, philipp.bircher@beyondgravity.com